Second-stage allocation [lo7-4]

klumper corporation is a diversified manufacturer of industrial goods. the company’s activity-based costing system contains the following six activity cost pools and activity rates: activity cost pool activity rates supporting direct labor $ 10 per direct labor-hour machine processing $ 3 per machine-hour machine setups $ 45 per setup production orders $ 150 per order shipments $ 115 per shipment product sustaining $ 750 per product activity data have been supplied for the following two products: total expected activity k425 m67 number of units produced per year 200 2,000 direct labor-hours 1,075 50 machine-hours 2,400 40 machine setups 13 1 production orders 13 1 shipments 26 1 product sustaining 1

required: how much total overhead cost would be assigned to k425 and m67 using the activity-based costing system?

Instructions are listed below.

Explanation:

Giving the following information:

Activity cost pools:

Direct labor $ 10 per direct labor-hour

Machine processing $ 3 per machine-hour

Machine setups $ 45 per setup

Production orders $ 150 per order

Shipments $ 115 per shipment

Product sustaining $ 750 per product Activity

Total Expected Activity K425:

Number of units produced per year 200

Direct labor-hours 1,075

Machine-hours 2,400

Machine setups 13

Production orders 13

Shipments 26

Product sustaining 1

Total Expected Activity M67:

Number of units produced per year 2,000

Direct labor-hours 50

Machine-hours 40

Machine setups  1

Production orders 1

Shipments 1

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH K425= 1,075*10 + 3*2,400 + 45*13 + 150*13 + 115*26 + 750= $24,225

Allocate MOH M67= 10*50 + 3*40 + 45*1 + 150*1 + 115*1= $930

b.

c.

d.

g.

those r all of them i believe